One of the most surprising things while looking for a home in Fort Worth was the property tax.

In Korea, people usually focus more on the home price itself, but in Texas, the property tax that must be paid annually after purchasing a home significantly affects living expenses. In particular, when examining the property tax bill closely, it becomes clear that the largest portion is the School District tax.

The tax rate for the Fort Worth Independent School District (Fort Worth ISD), which covers most of Fort Worth, is $1.0624 per $100 of assessed value for the 2024-25 tax year. The property tax statement includes costs for school operations and repayment of school facility bonds, which actually make up the largest portion of the property taxes paid by many homeowners.

For example, if we calculate based on a home with an assessed value of $350,000, the portion for Fort Worth ISD alone would be about $3,700. In addition, tax rates from the City of Fort Worth, Tarrant County, Tarrant County College, and JPS Health Network are added. The total property tax rate for homes in Fort Worth varies by location but is often around 2.2% to 2.9%.

As a result, people moving to Texas for the first time often look at home prices and think, "This is cheaper than I expected?" only to revise their budget after seeing the property tax bill. Even for a $400,000 home, it is common for the annual property tax to exceed $8,000 to $10,000.

Fortunately, Texas has a program called the Homestead Exemption. Homes registered as a primary residence can receive a deduction from the assessed value for tax purposes. Recently, the exemption amount for school districts was significantly increased through a Texas referendum. Additionally, seniors aged 65 and older or individuals with disabilities can receive additional exemption benefits along with limits on increases in school property taxes.

When viewing homes in Fort Worth, it is essential to check not only the home prices on Zillow or Realtor but also the "Property Tax" section. Even for the same $400,000 home, the annual difference can range from hundreds to thousands of dollars depending on which school district it belongs to.

Interestingly, in Fort Worth, even though the address is the same, there are multiple school districts. Depending on the location of the home, it may fall under Keller Independent School District, Eagle Mountain-Saginaw Independent School District, Crowley Independent School District, or Birdville Independent School District. Since the reputation of the school districts and tax rates vary slightly, the long-term tax burden can differ significantly even when purchasing a home within the same budget.

If you plan to buy a home in Fort Worth, it is important to check not only the home price, HOA, and insurance premiums but also the school district boundaries and property tax rates. In Texas, "which neighborhood you live in" is just as important as "which ISD you belong to" in determining how much money goes out of your wallet each year.

In fact, the saying that long-time residents look at the property tax bill before the home price is not without reason. Property tax is not a one-time cost that ends with the purchase of a home; it is an ongoing expense that follows you for decades.